Supplementary Information - Condensed Consolidating Financial Information | Supplementary Information — Condensed Consolidating Financial Information The following condensed consolidating financial information presents the results of operations, financial position and cash flows of DCP Midstream, LP, or parent guarantor, DCP Midstream Operating LP, or subsidiary issuer, which is a 100% owned subsidiary, and non-guarantor subsidiaries, as well as the consolidating adjustments necessary to present DCP Midstream, LP’s results on a consolidated basis. The parent guarantor has agreed to fully and unconditionally guarantee debt securities of the subsidiary issuer. For the purpose of the following financial information, investments in subsidiaries are reflected in accordance with the equity method of accounting. The financial information may not necessarily be indicative of results of operations, cash flows, or financial position had the subsidiaries operated as independent entities. Condensed Consolidating Balance Sheet December 31, 2016 Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) ASSETS Current assets: Cash and cash equivalents $ — $ — $ 1 $ — $ 1 Accounts receivable, net — — 156 — 156 Inventories — — 44 — 44 Other — — 26 — 26 Total current assets — — 227 — 227 Property, plant and equipment, net — — 3,272 — 3,272 Goodwill and intangible assets, net — — 175 — 175 Advances receivable — consolidated subsidiaries 1,676 1,754 — (3,430 ) — Investments in consolidated subsidiaries 925 1,439 — (2,364 ) — Investments in unconsolidated affiliates — — 1,475 — 1,475 Other long-term assets — — 12 — 12 Total assets $ 2,601 $ 3,193 $ 5,161 $ (5,794 ) $ 5,161 LIABILITIES AND EQUITY Accounts payable and other current liabilities $ — $ 18 $ 216 $ — $ 234 Current maturities of long-term debt — 500 — — 500 Advances payable — consolidated subsidiaries — — 3,430 (3,430 ) — Long-term debt — 1,750 — — 1,750 Other long-term liabilities — — 44 — 44 Total liabilities — 2,268 3,690 (3,430 ) 2,528 Commitments and contingent liabilities Equity: Partners’ equity: Net equity 2,601 928 1,444 (2,364 ) 2,609 Accumulated other comprehensive loss — (3 ) (5 ) — (8 ) Total partners’ equity 2,601 925 1,439 (2,364 ) 2,601 Noncontrolling interests — — 32 — 32 Total equity 2,601 925 1,471 (2,364 ) 2,633 Total liabilities and equity $ 2,601 $ 3,193 $ 5,161 $ (5,794 ) $ 5,161 Condensed Consolidating Balance Sheet December 31, 2015 Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) ASSETS Current assets: Cash and cash equivalents $ — $ — $ 2 $ — $ 2 Accounts receivable, net — — 154 — 154 Inventories — — 43 — 43 Other — — 107 — 107 Total current assets — — 306 — 306 Property, plant and equipment, net — — 3,476 — 3,476 Goodwill and intangible assets, net — — 184 — 184 Advances receivable — consolidated subsidiaries 2,159 2,023 — (4,182 ) — Investments in consolidated subsidiaries 613 1,033 — (1,646 ) — Investments in unconsolidated affiliates — — 1,493 — 1,493 Other long-term assets — — 18 — 18 Total assets $ 2,772 $ 3,056 $ 5,477 $ (5,828 ) $ 5,477 LIABILITIES AND EQUITY Accounts payable and other current liabilities $ — $ 19 $ 181 $ — $ 200 Advances payable — consolidated subsidiaries — — 4,182 (4,182 ) — Long-term debt — 2,424 — — 2,424 Other long-term liabilities — — 48 — 48 Total liabilities — 2,443 4,411 (4,182 ) 2,672 Commitments and contingent liabilities Equity: Partners’ equity: Net equity 2,772 616 1,038 (1,646 ) 2,780 Accumulated other comprehensive loss — (3 ) (5 ) — (8 ) Total partners’ equity 2,772 613 1,033 (1,646 ) 2,772 Noncontrolling interests — — 33 — 33 Total equity 2,772 613 1,066 (1,646 ) 2,805 Total liabilities and equity $ 2,772 $ 3,056 $ 5,477 $ (5,828 ) $ 5,477 Condensed Consolidating Statement of Operations Year Ended December 31, 2016 Parent Guarantor Subsidiary Issuer Non- Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) Operating revenues: Sales of natural gas, propane, NGLs and condensate $ — $ — $ 1,093 $ — $ 1,093 Transportation, processing and other — — 424 — 424 Losses from commodity derivative activity, net — — (20 ) — (20 ) Total operating revenues — — 1,497 — 1,497 Operating costs and expenses: Purchases of natural gas, propane and NGLs — — 946 — 946 Operating and maintenance expense — — 183 — 183 Depreciation and amortization expense — — 122 — 122 General and administrative expense — — 88 — 88 Gain on sale of assets — — (47 ) — (47 ) Other expense — — 7 — 7 Total operating costs and expenses — — 1,299 — 1,299 Operating income — — 198 — 198 Interest expense — (94 ) — — (94 ) Income from consolidated subsidiaries 312 406 — (718 ) — Earnings from unconsolidated affiliates — — 214 — 214 Income before income taxes 312 312 412 (718 ) 318 Income tax expense — — — — — Net income 312 312 412 (718 ) 318 Net income attributable to noncontrolling interests — — (6 ) — (6 ) Net income attributable to partners $ 312 $ 312 $ 406 $ (718 ) $ 312 Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2016 Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) Net income $ 312 $ 312 $ 412 $ (718 ) $ 318 Other comprehensive income: Reclassification of cash flow hedge losses into earnings — — — — — Other comprehensive income from consolidated subsidiaries — — — — — Total other comprehensive income — — — — — Total comprehensive income 312 312 412 (718 ) 318 Total comprehensive income attributable to noncontrolling interests — — (6 ) — (6 ) Total comprehensive income attributable to partners $ 312 $ 312 $ 406 $ (718 ) $ 312 Condensed Consolidating Statement of Operations Year Ended December 31, 2015 Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) Operating revenues: Sales of natural gas, propane, NGLs and condensate $ — $ — $ 1,442 $ — $ 1,442 Transportation, processing and other — — 371 — 371 Gains from commodity derivative activity, net — — 85 — 85 Total operating revenues — — 1,898 — 1,898 Operating costs and expenses: Purchases of natural gas, propane and NGLs — — 1,246 — 1,246 Operating and maintenance expense — — 214 — 214 Depreciation and amortization expense — — 120 — 120 General and administrative expense — — 85 — 85 Goodwill impairment — — 82 — 82 Other expense — — 4 — 4 Total operating costs and expenses — — 1,751 — 1,751 Operating income — — 147 — 147 Interest expense, net — (92 ) — — (92 ) Income from consolidated subsidiaries 228 320 — (548 ) — Earnings from unconsolidated affiliates — — 173 — 173 Income before income taxes 228 228 320 (548 ) 228 Income tax expense — — 5 — 5 Net income 228 228 325 (548 ) 233 Net income attributable to noncontrolling interests — — (5 ) — (5 ) Net income attributable to partners $ 228 $ 228 $ 320 $ (548 ) $ 228 Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2015 Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) Net income $ 228 $ 228 $ 325 $ (548 ) $ 233 Other comprehensive income: Reclassification of cash flow hedge losses into earnings — 1 — — 1 Other comprehensive income from consolidated subsidiaries 1 — — (1 ) — Total other comprehensive income 1 1 — (1 ) 1 Total comprehensive income 229 229 325 (549 ) 234 Total comprehensive income attributable to noncontrolling interests — — (5 ) — (5 ) Total comprehensive income attributable to partners $ 229 $ 229 $ 320 $ (549 ) $ 229 Condensed Consolidating Statement of Operations Year Ended December 31, 2014 (a) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) Operating revenues: Sales of natural gas, propane, NGLs and condensate $ — $ — $ 3,143 $ — $ 3,143 Transportation, processing and other — — 345 — 345 Gains from commodity derivative activity, net — — 154 — 154 Total operating revenues — — 3,642 — 3,642 Operating costs and expenses: Purchases of natural gas, propane and NGLs — — 2,795 — 2,795 Operating and maintenance expense — — 216 — 216 Depreciation and amortization expense — — 110 — 110 General and administrative expense — — 64 — 64 Other expense — — 3 — 3 Total operating costs and expenses — — 3,188 — 3,188 Operating income — — 454 — 454 Interest expense — (86 ) — — (86 ) Earnings from unconsolidated affiliates 423 509 — (932 ) — Income from consolidated subsidiaries — — 75 — 75 Income before income taxes 423 423 529 (932 ) 443 Income tax expense — — (6 ) — (6 ) Net income 423 423 523 (932 ) 437 Net income attributable to noncontrolling interests — — (14 ) — (14 ) Net income attributable to partners $ 423 $ 423 $ 509 $ (932 ) $ 423 (a) The financial information for the year ended December 31, 2014 includes the results of our Lucerne 1 plant, a transfer of net assets between entities under common control that was accounted for as if the transfer occurred at the beginning of the period to furnish comparative information similar to the pooling method. Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2014 (a) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) Net income $ 423 $ 423 $ 523 $ (932 ) $ 437 Other comprehensive income: Reclassification of cash flow hedge losses into earnings — 2 — — 2 Other comprehensive income from consolidated subsidiaries 2 — — (2 ) — Total other comprehensive income 2 2 — (2 ) 2 Total comprehensive income 425 425 523 (934 ) 439 Total comprehensive income attributable to noncontrolling interests — — (14 ) — (14 ) Total comprehensive income attributable to partners $ 425 $ 425 $ 509 $ (934 ) $ 425 (a) The financial information for the year ended December 31, 2014 includes the results of our Lucerne 1 plant, a transfer of net assets between entities under common control that was accounted for as if the transfer occurred at the beginning of the period to furnish comparative information similar to the pooling method. Condensed Consolidating Statement of Cash Flows Year Ended December 31, 2016 Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) OPERATING ACTIVITIES Net cash (used in) provided by operating activities $ — $ (88 ) $ 663 $ — $ 575 INVESTING ACTIVITIES: Intercompany transfers 483 268 — (751 ) — Capital expenditures — — (37 ) — (37 ) Investments in unconsolidated affiliates — — (29 ) — (29 ) Proceeds from sale of assets — — 160 — 160 Net cash provided by investing activities 483 268 94 (751 ) 94 FINANCING ACTIVITIES: Intercompany transfers — — (751 ) 751 — Proceeds from long-term debt — 1,972 — — 1,972 Payments of long-term debt — (2,152 ) — — (2,152 ) Distributions to limited partners and general partner (483 ) — — — (483 ) Distributions to noncontrolling interests — — (7 ) — (7 ) Net cash used in financing activities (483 ) (180 ) (758 ) 751 (670 ) Net change in cash and cash equivalents — — (1 ) — (1 ) Cash and cash equivalents, beginning of period — — 2 — 2 Cash and cash equivalents, end of period $ — $ — $ 1 $ — $ 1 Condensed Consolidating Statements of Cash Flows Year Ended December 31, 2015 Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) OPERATING ACTIVITIES Net cash (used in) provided by operating activities $ — $ (89 ) $ 739 $ — $ 650 INVESTING ACTIVITIES: Intercompany transfers 451 (60 ) — (391 ) — Capital expenditures — — (281 ) — (281 ) Investments in unconsolidated affiliates — — (62 ) — (62 ) Net cash provided by (used in) investing activities 451 (60 ) (343 ) (391 ) (343 ) FINANCING ACTIVITIES: Intercompany transfers — — (391 ) 391 — Proceeds from long-term debt — 1,554 — — 1,554 Payments of long-term debt — (1,429 ) — — (1,429 ) Proceeds from issuance of common units, net of offering costs 31 — — — 31 Distributions to limited partners and general partner (482 ) — — — (482 ) Distributions to noncontrolling interests — — (5 ) — (5 ) Contributions from DCP Midstream, LLC — — 1 — 1 Net cash (used in) provided by financing activities (451 ) 125 (395 ) 391 (330 ) Net change in cash and cash equivalents — (24 ) 1 — (23 ) Cash and cash equivalents, beginning of period — 24 1 — 25 Cash and cash equivalents, end of period $ — $ — $ 2 $ — $ 2 Condensed Consolidating Statements of Cash Flows Year Ended December 31, 2014 (a) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Millions) OPERATING ACTIVITIES Net cash (used in) provided by operating activities $ — $ (73 ) $ 597 $ — $ 524 INVESTING ACTIVITIES: Intercompany transfers (581 ) (280 ) — 861 — Capital expenditures — — (338 ) — (338 ) Acquisitions, net of cash acquired — — (102 ) — (102 ) Investments in unconsolidated affiliates — — (673 ) — (673 ) Acquisition of unconsolidated affiliates — — (151 ) — (151 ) Proceeds from sale of assets — — 28 — 28 Net cash used in investing activities (581 ) (280 ) (1,236 ) 861 (1,236 ) FINANCING ACTIVITIES: Intercompany transfers — — 861 (861 ) — Proceeds from long-term debt — 719 — — 719 Payments of issuance of commercial paper, net — (335 ) — — (335 ) Payment of deferred financing costs — (7 ) — — (7 ) Proceeds from issuance of common units, net of offering costs 1,001 — — — 1,001 Excess purchase price over acquired assets — — (18 ) — (18 ) Net change in advances to predecessor from DCP Midstream, LLC — — (6 ) — (6 ) Distributions to limited partners and general partner (420 ) — — — (420 ) Distributions to noncontrolling interests — — (14 ) — (14 ) Contributions from noncontrolling interests — — 3 — 3 Purchase of additional interest in a subsidiary — — (198 ) — (198 ) Net cash provided by financing activities 581 377 628 (861 ) 725 Net change in cash and cash equivalents — 24 (11 ) — 13 Cash and cash equivalents, beginning of year — — 12 — 12 Cash and cash equivalents, end of year $ — $ 24 $ 1 $ — $ 25 (a) The financial information for the year ended December 31, 2014 includes the results of our Lucerne 1 plant, a transfer of net assets between entities under common control that was accounted for as if the transfer occurred at the beginning of the period to furnish comparative information similar to the pooling method. |